Home / Credit Counseling / Home Equity Loan
Home Equity Loans
National Debt Crisis Center is a non-profit credit counseling agency offering a variety of financial solutions for
consolidating debts. If you own your home and are struggling under a mountain of debt, a home equity loan
may be the answer to your debt problems.
Contact us online or call National Debt Crisis Center at 1-800-334-6797
to find out if a home equity loan can help you!
What Is A Home Equity Loan?
Home equity loans are home mortgages used for home improvement or debt consolidation. Unlike your unsecured debt, such as credit cards, a home equity loan has a low, fixed interest rate. A fixed interest rate means that your interest rate will not change during the life of the loan. So instead of credit card interest rates of 14% to 29.9%, you could be paying 6.00% average interest rate on a home equity loan. Plus, the interest you pay is tax deductable.
The difference in payments & interest paid on credit card debt vs. a home equity loan.
How Do You Qualify For A Home Equity Loan?
National Debt Crisis Center certified credit counselors will examine your debt problems and determine if a home equity loan would best fit your financial situation. Before you can consider using a home equity loan for debt consolidation, you must:
- Own Your Home
- Have more than $10,000 in Unsecured Debt
- Have sufficient Home Equity
If you don't meet those basic qualifications, our certified credit counselors can look at other ways of
consolidating debt for you.
Home Equity Loan Tips
It's important to remember that a home equity loan doesn't erase your credit card debt. You're only consolidating those debts to a lower interest rate, so you should pay back your home equity loan as soon as possible. While a person with good credit can get a home equity loan for up to 125% more than the value of the home, you should only borrow as much as you need. Otherwise you run the risk of creating an even bigger debt than you can handle.
Because you're using your home as collateral (to guarantee the home equity loan), it's important not to be late or default on your loan. If you miss more than two loan payments, you run the risk of losing your home. Before getting a home equity loan, speak to one of the credit counselors at National Debt Crisis Center to be certain this is the best financial solution for you.
| Join National Debt Crisis Center, Inc. in making a difference! Contact us online or call us at 1-800-334-6797 for more information on our services. Our counselors can refer you to the debt management solution that best suits you and are available: Monday through Thursday 8:00 a.m. to 12:00 midnight; Friday 8:00 a.m. to 11:30 p.m.; Saturday 10:00 a.m. to 6:00 p.m. Eastern Time. Use the Credit Card Debt Analyzer to calculate your estimated interest and payment savings available, through a debt management program that matches your situation. |
